Board committee extends waiver to let Mayor's office and HSH seek private donations for homeless services

The Government Audit & Oversight Committee of the San Francisco Board of Supervisors approved a six-month extension Oct. 11 to a behested-payment waiver that lets the Mayor's Office and the Department of Homelessness and Supportive Housing (HSH) solicit private donations to expand temporary shelter and related services.

Shireen McSpadden, executive director of HSH, told the committee the extension will allow staff to continue active conversations with philanthropic partners, including Crankstart Foundation, Tipping Point, the Schwab Foundation, US Aging and UCSF. McSpadden said the department has one confirmed commitment during the previous waiver period: a $350,000 grant from Crankstart to Rafael House.

McSpadden said the waiver supports efforts to meet goals in the Home by the Bay strategic plan and described current system capacity: according to HSH, the 2024 point-in-time count identified about 8,323 people experiencing homelessness in San Francisco, about 52% of whom were unsheltered, and HSH reported 3,610 temporary shelter or crisis-intervention slots with a 92% occupancy rate.

Supervisors pressing HSH emphasized the need for clearer fundraising goals and transparency about program outcomes. Supervisor Connie Chan asked whether additional commitments beyond the Crankstart grant had been secured; McSpadden said Crankstart's gift to Rafael House was the only confirmed private commitment to date. Chair Dean Preston and other members said they had expected larger sums given the size of the philanthropic organizations named and urged staff to report back on fundraising goals and barriers to larger donations.

Supervisors also raised potential conflict-of-interest concerns because many philanthropies that fund homelessness advocacy also advocate on policy. McSpadden said HSH is matching donor interests to departmental priorities and that donations are being funneled through the Mayor's Fund for the Homeless, a category-8 fund with reporting to the Homelessness Oversight Commission and annual reporting to the Board of Supervisors.

Public commenters at the hearing urged accountability and outcome measures. Daniel Jeremiah Hoffman, who identified himself as reporting for SF Liberator News and as formerly unhoused, said he supported public housing but warned donors and programs must be judged on measurable results. Other commenters urged stronger job training links and oversight to avoid perpetually managing people in poverty.

After public comment, Chair Preston moved to adopt the amendment that staff read into the record (noting a philanthropic-engagement memo on file with the Clerk, file no. 240883) and to forward the amended item to the full Board with a positive recommendation. The committee approved the motion (2 ayes, Vice Chair Stephanie excused). The item was forwarded to the full Board.